Strategic supply management: The relationship between supply management practices, strategic orientation and their impact on organisational performance

A theoretical model is presented for conceptualising the relationship between the management of supply, strategic orientation at the business-unit level and their proposed link with firm performance. The shortcomings of existing approaches in accounting for the wide variety of purchasing practices in a comprehensive supply management framework are discussed as well their alignment with strategic orientation. The paper concludes by presenting a model and propositions concerning firm-level supply management, strategic orientation and firm performance.     

What Does it Mean to be Market-Driven?

Searching behind the slogans, and with a wealth of reference to real-life corporate experience, this article starts by outlining some of the traps which managers can fall into in their search for market orientation. It then identifies specific capabilities and behaviours which go towards making a firm market-driven in practice and concludes with an analysis of how the parts fit together to generate extra effectiveness.     

The case for road pricing

The argument in principle for pricing the use of road space rests on firm intellectual foundations. The necessary technology is readily available. Public acceptance of the idea, with the concomitant need for investment in new roads, is subject to much confusion, reinforced by Nimbyism on one side and Swampyism on the other.     

The Information Content of Cash Flow Figures

This paper investigates the link between earnings and share prices for a sample of UK companies for the years 1961 to 1977. Three measures of earnings were used: the traditional historical cost accounting return and two which were closer to cash flow measures. The strength of the link between earnings and cumulative abnormal returns was investigated relative to the level of inflation. The results indicate that, while there is substantial information content in the traditional historical cost rate of return, there is very little information conveyed by the measure closest to pure cash flow. No support was therefore found for the use of cash flow based reports. Evidence was found showing substantial changes in the nature of the relationship between accounting and stock returns, but this could not be explained by the effects of inflation.     

Strategic market analysis and definition: An integrated approach

Two distinct approaches to market analysis and definition have evolved. Those approaches which adopt a top-down persepective, tend to specify markets in terms of competitive capabilities and resource transferability. The alternative bottom-up perspective emphasizes customer requirements or usage patterns when defining markets. An integrated approach begins with a common model of the principal dimensions of a market. The second element is the recognition that different market definitions are needed for different strategic purposes. Next, the strategic planning framework which links business units and product-market units should be compatible with these purposes and reflect a strategically relevant balance of cost and demand factors. A procedure for forming business units from groups of product-markets is shown to be effective for achieving this balance.     

An outside-in approach to resource-based theories

The ability of firms to understand and quickly adjust to their fast‐changing markets ultimately depends on their adaptive capabilities. The full benefit of these capabilities will be realized by firms that adopt an outside‐ approach to the development of their dynamic capabilities.